Solana’s latest chart narrative is settling into something traders recognize. After a steep selloff, the price action is shifting into consolidation as “Wave 4” develops, according to analysis summarized by NewsBTC.

That setup cuts two ways. The desk notes that corrective phases can bring short-term relief. It also flags the more uncomfortable possibility. Wave 4 can just be a pit stop before the next bearish leg.

Wave 4 unfolding after a channel breakdown

On the 30-minute timeframe, Elliott Waves Academy says Solana’s pair looks like it’s gearing up for another significant downside move after a decisive breakdown from its price channel. NewsBTC frames the selloff as bearish momentum reasserting itself, with sellers still controlling the broader trend.

The key claim in the Elliott Waves Academy view is that the move has already reached the 261.80% Fibonacci extension level. NewsBTC links that milestone to the idea that Wave 3 has completed.

From there, Elliott Waves Academy expects Wave 4 to play out as a corrective phase that follows an extended decline. The expectation is less violent than prior impulses. It could look like sideways consolidation or even a corrective triangle formation, which would temporarily stabilize price action.

The “so what” arrives with the trigger. NewsBTC says Elliott Waves Academy points to a breakdown below Wave 4 support as the signal that Wave 5 could begin. The outlined downside zone for that next leg is $81.33 to $78.69.

Three months of range, then a breakout retest

NewsBTC also brings in commentary from crypto analyst Daan Crypto Trades. That part of the story focuses less on wave labels and more on regime change.

Daan is cited saying Solana delivered the expected 20% to 30% move after finally breaking out of a multi-month trading range. NewsBTC characterizes this kind of break as common after prolonged consolidation, where volatility compresses until a directional move forces repricing.

Daan’s emphasis, as quoted through NewsBTC, is confirmation. He argues traders should wait for price to escape the range that has held for more than three months. The rationale given is straightforward. Once a range gives way, momentum can accelerate fast, so guessing the move early tends to be riskier than reacting after confirmation.

The retest matters in the retelling. NewsBTC says Solana is now retesting a crucial weekly support level that Daan calls one of the last major support zones on the chart.

Here’s the fork in the road that NewsBTC lays out. If the level holds and Solana reclaims key horizontal resistance levels above it, bullish momentum could return. If it fails, the bearish case stays intact.

What this means for traders watching the “wave” label

NewsBTC’s compilation leaves one core question intact. Is the current consolidation a setup for relief and trend repair, or is it a pause before wave five?

The Elliott Waves Academy scenario is explicitly conditional. A completed Wave 3 and a developing Wave 4 are only useful if support doesn’t break. If a breakdown occurs under the correction’s key support, the next bearish leg is positioned to start.

Meanwhile, Daan Crypto Trades frames the market through range mechanics. After a 3+ month range break and a 20% to 30% move, the weekly support retest becomes the battleground that decides whether the breakout holds.

Either way, NewsBTC’s cited analyses converge on one theme. This is not a “buy now” story. It’s a wait-for-structure story, because the next move depends on whether support holds during this consolidation phase.

Source cited by NewsBTCClaimTimeframe or referenceKey level(s) mentioned
Elliott Waves AcademyWave 3 completed at 261.80% Fibonacci extension30-minute wave outlook261.80% extension, then Wave 4 setup
Elliott Waves AcademyBreakdown below correction support could trigger Wave 5Wave 4 structureDownside zone: $81.33 to $78.69
Daan Crypto TradesExpected 20% to 30% move after breaking a multi-month rangePost-breakout context20% to 30% move, then weekly support retest
Daan Crypto TradesWeekly support is a last major support zoneWeekly levelCrucial weekly support, horizontal resistance reclaim cited

Featured image from iStock. Chart from TradingView.com.